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The automaker has blamed an earnings downgrade to Donald Trump's tariffs, as it calling on the UK government for greater active assistance.

The company, which builds its cars in Warwickshire and south Wales, revised its profit outlook on Monday, representing the second such downgrade this year. The firm expects a larger loss than the earlier estimated £110 million shortfall.

Requesting Government Backing

Aston Martin expressed frustration with the British leadership, telling shareholders that despite having engaged with representatives on both sides, it had productive talks directly with the American government but needed greater initiative from British officials.

It urged British authorities to protect the needs of niche automakers like Aston Martin, which provide numerous employment opportunities and add value to local economies and the broader UK automotive supply chain.

Global Trade Impact

The US President has disrupted the global economy with a trade war this year, significantly affecting the car sector through the imposition of a 25 percent duty on April 3, in addition to an previous 2.5 percent charge.

In May, the US president and Keir Starmer agreed to a agreement to cap tariffs on 100,000 UK-built cars per year to 10 percent. This tariff level took effect on 30th June, coinciding with the last day of Aston Martin's Q2.

Agreement Criticism

Nonetheless, the manufacturer expressed reservations about the bilateral agreement, stating that the introduction of a US tariff quota mechanism introduces further complexity and limits the group's ability to precisely predict earnings for the current fiscal year-end and potentially each quarter starting in 2026.

Other Factors

Aston Martin also cited reduced sales partly due to greater likelihood for supply chain pressures, especially after a recent digital attack at a leading British car producer.

The British car industry has been shaken this year by a digital breach on the country's largest automotive employer, which led to a production freeze.

Market Response

Shares in Aston Martin, traded on the LSE, fell by over 11 percent as markets opened on Monday morning before recovering some ground to be down 7%.

The group delivered 1,430 cars in its Q3, missing earlier projections of being roughly equal to the 1,641 vehicles delivered in the same period the previous year.

Future Plans

The wobble in demand coincides with Aston Martin gears up to release its Valhalla, a mid-engine hypercar costing around $1 million, which it expects will boost profits. Deliveries of the car are scheduled to begin in the final quarter of its financial year, although a projection of about 150 deliveries in those final quarter was below earlier estimates, reflecting engineering delays.

Aston Martin, well-known for its roles in James Bond films, has started a evaluation of its future cost and investment strategy, which it said would likely lead to lower spending in engineering and development versus earlier forecasts of about £2bn between its 2025 and 2029 fiscal years.

Aston Martin also told shareholders that it no longer expects to achieve profitable cash generation for the second half of its current year.

The government was approached for comment.